Why industrialists have lauded the West Bengal Investment Promotion Policy, 2026

It was a day that industrialists and investors were waiting for. The much-awaited Diwali bonanza came on Thursday, with the announcement of the West Bengal Investment Promotion Policy, 2026.

Prominent industrialists in the state and industry chambers held a meeting with the state government on August 12 at the state secretariat. Their viewpoints were considered and industrial policies of Gujarat, Uttar Pradesh, Tamil Nadu and Maharashtra for four years were studied before coming out with an industrial policy conducive to West Bengal.

Industrialists are positive after the unveiling of the new policy.

“I see it very positively and I am hopeful that this will lead to faster development in our state. There are certain fiscal incentives also, but most importantly there is a roadmap for faster clearance and time bound targets that the government has set which is very encouraging,” said Harsh Neotia, Chairman, Ambuja Neotia Group.

Sanjay Budhia, the Managing Director of the Patton Group, spoke about the state government's benchmark move to factor in the industrial policies of other states that are considered the best in terms of industry incentives.

“When we compare what is available elsewhere, in those industrialised, developed states, definitely the intention and roadmap is there. However, there is no magic wand that the Chief Minister or anyone can (wave) overnight, but we have to see that the journey has started, the journey will continue. It is the trailer of the big picture.”

Budhia also spoke about the brain drain from the state, arguing that its talent needed to return.

“This policy puts emphasis on execution and innovation. The government has answered the most important question that an investor faces, which is timeline of the project. The one-stop portal with a stated timeline and designated officer at every stage of application and sanction will bring peace of mind for an investor,” said Mayank Jalan, Chairman & Managing Director, Keventer Group.

The healthcare sector too is cheering for the much-awaited industrial policy.

“We speak about where the healthcare sector as an industry should go and there has to be a proper direction. There is separate incentive entitlement for all industries across the state, such as large manufacturing units, MSMEs, and service sectors. From the industry’s side, we expect this will revitalise West Bengal and we can see alot of employment opportunities,” said Rupak Barua, MD&CEO, Woodlands Hospital, who is also the Chairman of the Confederation of Indian Industry, West Bengal state council.

“Its emphasis on manufacturing, research and development and employment generation, with enhanced incentives for creating jobs, particularly for women and transgender employees, is encouraging. The waiver of cross-subsidy and additional surcharge on green power sourced within West Bengal until March 2030 is also a significant step towards accelerating the state's green energy transition and promoting sustainable industrial growth,” said Dhruv Sharma, CEO of the Kolkata-based solar cell manufacturer Jupiter International Limited.

Jupiter Wagons Limited plans to invest ₹3,000 crore and believes the new industrial policy is a decisive and forward-looking step, while addressing three things that decide where capital goes: land, speed of approvals and incentives tied to jobs.

“Our integrated defence manufacturing facility at Purulia reflects the confidence this government has built on the ground, and shows how industry can transform livelihoods in western Bengal. The real multiplier now lies in anchor investments that build MSME supplier ecosystems around them,” said Vivek Lohia, MD, Jupiter Wagons Limited.

Strong emphasis on industrial development and employment generation through various incentive provisions are also reasons to cheer.

Mahesh Agarwal, Managing Director, Purti Realty says these include financial assistance with respect to SGST, electricity duty and stamp duty reimbursement, and enhanced Employee Provident Fund (EPF) support for women and transgender employees, reflecting a progressive approach towards accelerated and inclusive growth.

“Equally encouraging are the incentives for research and development, green energy and the revival of sick industrial units. The higher assistance for thrust sectors and less-industrialised priority areas could also encourage investment beyond traditional economic centres,” opined Agarwal.

Emphasis on research and development too has won praise, apart from job creation. This includes a focus on emerging industries, research and development, and extending industrial growth beyond established economic centres.

“The policy's specific provisions for R&D are particularly significant, as they can help strengthen the link between academic research, technological innovation and industrial applications. Encouraging industry-led research and creating pathways for startups to commercialise innovative solutions could help West Bengal develop a stronger pipeline of technology-driven enterprises,” said Ajay Jain, the Chairman of the IIM Calcutta Innovation Park Board.

The BJP government’s main focus remains to attract investors into the state, encourage the expansion of existing industries, bring back migrant labourers, invest in skill development and eradicate extortion and the syndicate culture.

The promises are many, which the government says they will keep to industrialise West Bengal at par with other states.